Survey to African Business Schools. Responsible Management Education in Africa Presented at AABS Conference 15 April 2011

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1 Survey to African Business Schools Responsible Management Education in Africa Presented at AABS Conference 15 April 2011

2 Transnet Programme in Sustainable Development TPSD to advance sustainable development in management education TPSD part of CBAR at GIBS GIBS signed PRME November 2009

3 Methodology Online survey conducted via Survey Monkey Survey distributed via to AABS, SABSA, SADCNET data-bases as well as registered participants at AABS Conference. Targeted at business school / university respondents. 48 individual responses analysed 31 different business schools / universities from across Africa (9 different countries)

4 Spread of responses

5 Purpose of Survey Gauge the knowledge and uptake of the United Nations Principles for Responsible Management Education (PRME) in African business schools. Develop an overview of the sustainability and corporate citizenship activities in African business schools.

6 PRME - Principles Principle 1 - Purpose: We will develop the capabilities of students to be future generators of sustainable value for business and society at large and to work for an inclusive and sustainable global economy. Principle 2 - Values: We will incorporate into our academic activities and curricula the values of global social responsibility as portrayed in international initiatives such as the United Nations Global Compact. Principle 3 - Method: We will create educational frameworks, materials, processes and environments that enable effective learning experiences for responsible leadership.

7 PRME - Principles Principle 4 - Research: We will engage in conceptual and empirical research that advances our understanding about the role, dynamics, and impact of corporations in the creation of sustainable social, environmental and economic value. Principle 5 - Partnership: We will interact with managers of business corporations to extend our knowledge of their challenges in meeting social and environmental responsibilities and to explore jointly effective approaches to meeting these challenges. Principle 6 - Dialogue: We will facilitate and support dialogue and debate among educators, business, government, consumers, media, civil society organizations and other interested groups and stakeholders on critical issues related to global social responsibility and sustainability. We understand that our own organizational practices should serve as example of the values and attitudes we convey to our students.

8 Respondents focus areas Human Resource Management Operations Management Leadership Innovation & Technology Ethics Accounting Entrepreneurship Sustainable Development Banking Project Management Tourism Corporate Finance Economics E-Commerce Marketing Business Environment Productivity Strategy Sales Management

9 PRME Signatories According to PRME website, the signatories in Africa are: Association of African Business Schools Gordon Institute of Business Science, University of Pretoria Rhodes Investec Business School School of Business, the American University in Cairo University of Cape Town Graduate School of Business University of Lagos, Chartered Institute of Commerce of Nigeria University of Stellenbosch Business School

10 Reasons for signing the PRME Response options Response Percent Response Count We identify with the values of the PRME We are already incorporating the principles into our curriculum and strategy We believe the PRME provides a new approach in education that meets the new needs and expectations of the business world and the demands of a new generation of students with regard to sustainability and good corporate citizenship. Our students wanted us to Peer pressure our competitors signed up I don't know why we signed the PRME Other reason (Please elaborate) 82 % 9 45 % 5 36 % 4 0 % 0 0 % 0 0 % 0 Competitive advantage 1

11 Reasons for not signing PRME Response options Response Percent Response Count Plan to sign it 50 % 11 Do not plan to sign it 15% 4 We don t know what it is 30 % 7 We don t understand it 0 % 0 We don t identify with the values of the PRME The PRME is just another charter to sign up to The PRME has no real value to our organisation I don't know if we plan to sign the PRME Other (open response): 0 % 0 0 % 0 0 % 0 15 % 4 School has not discussed the issue We would like to know more 2

12 Values appropriate to African business schools Yes No I m not sure 2% 10% 88%

13 Memberships and Associations NET Impact UNGC EABIS SADCNET EQUIS AMBA AACSB International SABSA AABS

14 Vision & Mission Statement PRME Principles: We understand that our own organizational practices should serve as example of the values and attitudes we convey to our students.

15 Vision & Mission Statement Individual School 74% 77% 24% 23% 2% 0 Yes No We don't have a mission and vision statement

16 Querying Principles 2 & 4 Principle 2 - Values: We will incorporate into our academic activities and curricula the values of global social responsibility as portrayed in international initiatives such as the United Nations Global Compact. Principle 4 - Research: We will engage in conceptual and empirical research that advances our understanding about the role, dynamics, and impact of corporations in the creation of sustainable social, environmental and economic value.

17 Responses to Principle 2 & % 70.0% 69.0% 60.0% 50.0% 40.0% 30.0% 52.4% 57.1% 20.0% 10.0% 0.0% 9.5% Core Electives Research Nothing

18 Core & Electives DBA MBA / Executive MBA Post Graduate Diploma in Management Post Graduduate Diploma in Business Administration Bachelor of Accountancy Bachelor of Economics and Finance Bachelor of Business Administration Bachelor of Commerce Bachelor of Management in Leadership Certificates

19 Querying Principle 3 Principle 3 - Method: We will create educational frameworks, materials, processes and environments that enable effective learning experiences for responsible leadership.

20 Principle 3 Responses Workshops / thought leaders seminars / practitioners forums / public lectures / Hosting guest speakers from leading companies Exposing delegates to social, commercial and political environment / Visits to companies with strong social and environmental stewardship credentials Curriculum development with experts in field and academics/ study materials for courses / case studies / study guides Student based academic clubs, e.g. The Corporate Governance Club and Entrepreneurs Society

21 Querying Principle 5 Principle 5 - Partnership: We will interact with managers of business corporations to extend our knowledge of their challenges in meeting social and environmental responsibilities and to explore jointly effective approaches to meeting these challenges.

22 Responses to Principle 5 14% I don't know 11% No 76% Yes, please explain how in the box below

23 Business school interaction with corporate world Seminars / workshops / conferences with industry Research surveys and student research on issues drawn from industry Writing business cases Guest speakers and part time lecturers drawn from business Consulting work with corporates Site visits as part of academic programmes Funding from and partnerships with industry to advance special topics, e.g. Sustainable Development Memberships of professional industry bodies

24 Querying Principle 6 Principle 6 - Dialogue: We will facilitate and support dialogue and debate among educators, business, government, consumers, media, civil society organizations and other interested groups and stakeholders on critical issues related to global social responsibility and sustainability.

25 Facilitating dialogue 80.0% 70.0% 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 0.0% 69.0% 69.0% 64.3% 59.5% 54.8% 50.0% 50.0% 40.5% 33.3% 33.3% 2.4%

26 Complimentary research Georgetown MBA group. MBA Global Experience: Johannesburg March 25, 2011 Researchers: Charlotte Fausett Coor, Preethi Harbuck, Jee Sun Lee, Adrienne Weil

27 African MBA students 94% of students agreed that ethics is important to them Top three ethical issues: corruption (62%), environmental issues/sustainability (50%), and non-discrimination (45%) AABS should focus on business ethics including these issues

28 African MBA Students Importance of Business Ethics Most Important Business Ethics 69% 6% 25% Neutral Somewhat Important Very Important 70% 60% 50% 40% 30% 20% 10% 0% 62% Corruption 50% 46% 45% Environmental Issues / Sustainability Non-Discrimination Corporate Social Responsibility 39% Employment Diversity 24% Equitable Wages 11% 11% Sexual Harrassment Whistleblowing 0% Other

29 African MBA Students 53% of students are willing to take an elective course about business ethics Top three ways to discuss ethics at school: classroom case discussions (68%), team projects (47%), and guest speakers (41%) Electives courses should include these methods of interacting with ethics

30 African MBA Students Willingness to Take an Elective Course about Business Ethics The Best Way to Discuss Ethics at School 24% 31% 7% 16% 22% Not Likely at All Not Very Likely Neutral Somewhat Likely Very Likely 80% 70% 60% 50% 40% 30% 20% 10% 0% 68% Classroom case discussions 47% 41% Team Projects Guest speakers 28% 27% 22% 17% Focus Groups Social media Classroom lectures Conferences 6% Online discussion boards

31 African MBA Students 82% of students are willing take an ethical oath 61% of students are willing to obtain an ethical distinction Adopting an ethical oath or distinction is recommended due to the students positive response

32 African MBA Students Willingness to Take an Ethical Oath Willingness to Obtain an Ethical Distinction 3% 5% 56% 10% 26% Not Likely at All Not Very Likely Neutral Somewhat Likely Very Likely 30% 9% 61% Yes No Maybe

33 Competitive advantage Yes No I m not sure 7% 5% 88%

34 Sufficient information about PRME Yes No I'm not sure 19% 26% 55%

35 Drivers 80.0% 70.0% 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 0.0% 66.7% 66.7% 23.8% 23.8% 21.4% 16.7% 11.9% 9.5% 9.5% 7.1%

36 Participation in African network Individual: Yes 91% No 2% I don't know 7% Business schools: Yes 96% No 0% I don't know 4%

37 Recommendations Create network for PRME in Africa (within AABS) AABS to form base of PRME secretariat to drive principles in African business schools Benefits of network Continue responsible management into future employment Avoid duplication of effort Generate cross border research efforts and attraction for funding

38 Role of network Incorporate business networks or work with existing business networks, e.g. NBI Collaborate efforts with other African business schools Create awareness and promote principles of PRME Share information and experiences Provide best practice and international benchmarks Design learning materials and teaching strategies Forum for discussion and debate between African business schools and with global academia Source of research topics

39 Recommendations from MBA students Library of cases related to areas of expressed interest from survey Examples of course syllabi focused on ethics Database of business leaders willing to present real-life ethical dilemmas MBA Oath or AABS-specific oath Creation of ethical distinction or charter Explore possibility of AABS enforcement panel

40 MBA Student Survey Most students prefer to learn about business ethics in the classroom with real-life examples, case discussions, and only a minor focus on theoretical principles. Teach Best Practices Spotlight companies/leaders who have behaved ethically Account for any insurmountable hurdles (e.g., rampant corruption) Teach that Ethical Behavior Creates Competitive Advantage Use Case Studies (e.g., JP MorganChase) Engage outside speaker testimonials

41 MBA Student Survey AABS should segment member schools according to rates of ethical curricula adoption in order to be most effective in reaching the most in-need schools. Wits and GIBS Business School highlighted for its commitment Most schools have at least one core or elective course about business ethics Across AABS member schools, relatively weak curricula in ethics compared to US/European counterparts

42 Examples of best practice University of Stellenbosch Business School ranks #39 out of Global 100 in Beyond Grey Pinstripes Ranking First South African business school to incorporate business ethics into its core curriculum and incorporate Environmental Finance into its MBA Centre for Social Responsibility Academic themes include: management of diversity, social entrepreneurship, economic development and sustainable business and environments, corporate governance and ethics

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